Is it a good idea to fix your mortgage for 10 years? Several banks and building societies think its now the way to go. This week we checked out several offers where you can get a fixed mortgage for 10 years .

National Counties Building Society – 10yr 4.19% Fixed R/M LTV 25%

Britannia Building Society – 10yr 4.79% Fxd LTV 75%

The Co-operative Bank – Flexible 10yr 4.79% Fixed LTV 75% Direct

Leeds Building Society – 10yr 4.99% Fixed LTV 80%

Woolwich – Openplan FM 10yr 4.99% Fxd BBR LTV 70%

The question is currently being asked, as home owners are now being offered this opportunity. I’ve not been aware until now that you could fix your mortgage payments for 10 years, but currently six lenders are offering such. Normally a 5 year fixed is as long as you can commit too, but banks and building societies are now looking to provide home owners more peace of mind with extremely long term commitments.

It said that the offers are in response to home owners asking for long term fixed, and thereby is a response to UK demand. A spokesman from Chelsea Building Society said ”

“This deal won’t be for everyone. Although it is portable, it’s best for those who are sure they want to stay in their home for 10 years, and some may be wary about locking in for a decade,” said Ray Boulger, senior technical manager at mortgage broker John Charcol, “But it will be popular. It’s easily the cheapest 10-year fix on the market, and despite the relatively high fee, for anyone happy to lock in, it offers very good value.”

Last years fixed mortgage for 10 years deals

The Skipton building society has recently launched a 10 year fixed rate deal at a rate of 5.85% for up to 85% loan to value (LTV) with no fee.

The Yorkshire building society deal is fixed at 5.99% on a 75% loan to value (LTV)

The Britannia deal is fixed at 5.29% on a 75% (LTV)

The Chelsea building society has the lowest rate at 3.99% with a fee of £1,495 but is only available to those with at least a deposit of 30% on there fixed mortgage for 10 years

The Co-operative deal is offered at a fixed rate of 5.69% also on a 75% (LTV)

The Leeds building society offer a 10 year deal on a fixed rate of 5.99% but on an 80% loan to value (LTV)

The fors on a 10 year mortgage

You can know what your payments are for the coming 10 years!

The rates aren’t too outrageous when you consider mortgage rates have been as high as 13 per cent in the past

Offers good value for home owners who are looking to change mortgage deals

The againsts – on a 10 year mortgage

You are paying more than the current variable for the priveldge of being fixed

Very long commitment

You may be in a deal where you can’t over pay the mortgage

Requires a loan to value (LTV)

May have a large exit fee

No benefit from Bank of England reductions

Conclusion:

To commit a mortgage deal for 10 years, may be the perfect deal for you under these difficult times, with the chance to budget for a longer period knowing the monthly amount. These deals do mean that with payments fixed till the end of the deal they will not be affected by interest rates going up or down. Personally a 5 year commitment still seems a balanced view, but if 10 years proves popular, then it may well become the choice of home owners in the coming years ahead.